Many property managers will want to know about your life in great detail. They will probably ask for your credit report, criminal background, previous rental history and current employment information. After all, your property manager is trying to run a business. And as with all businesses, the goal is to profit, and that only happens when the business takes in more money than it pays out. That being said, your rent money isn’t going directly into the property manager’s pocket. It is being applied to numerous accounts and fees like the apartment community’s mortgage, utility bills, salaries for leasing and maintenance people, and costs for things like insurance, real estate and income taxes, pest control, pool chemicals, supplies… the list goes on and on. In order to pay all of these expenses, property managers need to calculate how much income (aka rent) they need to bring in each month. That is why they must ask you about things about your credit score, job history and previous renting experiences: to ensure that you are a reliable tenant who will pay their rent on time and in full.
There are many hurdles to clear during your
apartment search. But if you’ve
just filed for Chapter 13 bankruptcy, will you ever be able to find an apartment?
The answer isn’t simple. Because even if you are able to pay the rent, the property manager can’t always take the risk without something secure backing you. If he/she is missing rent from a tenant it affects the whole apartment community. The whole system of paying maintenance workers, fees, and mortgages is completely thrown off. But it is not totally hopeless.
Filing for Chapter 13 will greatly affect your credit score and thus
greatly affect you as a renter. Behind foreclosure, bankruptcies are the worst offense for your score. Depending on the factors as to why someone could not meet their financial responsibilities, there can be some flexibility. One of the best things you can do is be completely honest with your property manager about your situation. You can also
put together a renter’s resume to market yourself as a model tenant despite the unfortunate position you are in. If your property manager still won’t budge, try finding a co-signer to vouch for you —someone with a steady income and good credit.
Then there are the criminal background checks. Why are they important to property managers? This is due largely in part to the liability that property manager’s face when renters do bad things and people sue the property manager and say “the property manager should have known that this person might do this because of their previous criminal background.”
Even after all that, your property manager can still deny your application. You do have rights under the
Fair Credit Reporting Act that require adverse actions reports for different situations. But that doesn’t help the fact that you’ve been denied. Try working with a smaller company or independent owner property manager who may be a little more flexible. Don’t be shy about sharing your need to find an apartment with your family, friends, and co-workers. You never know —one of them may have a friend or family member who is looking for someone to rent an efficiency or small starter home that has become a rental. Everyone goes through hard times and many people who you are close to will be understanding.
Hopefully, your apartment search will ultimately be successful and these difficulties will be short term. Be sure to do your research and consult with people you trust for advice. Filing for bankruptcy can definitely put a damper on apartment hunting, but it isn’t the end of the world!
Check out this other ForRent.com post on
how to land an apartment without a job, that includes helpful tips that can also be applied in this situation.
This ForRent.com blog post was updated on April 6th, 2017, by our team to bring more up to date information on the world of renting for our audience. 
